In the UK, the Jackdaw development (120-250 MMboe) was given the nod, whilst the German and Dutch authorities expressed the intention to approve the N05-A project (31 MMboe).
Both projects have a common history in the sense that the go-ahead could have been given a while ago. But, concerns related to continued development of fossil fuel projects must probably be seen as the main driver behind the delay.
In the UK, it was the COP26 conference happening around the same time as Jackdaw that may have played a role in the authorities declining Shell’s proposal to export gas and condensate via their Shearwater hub.
The N05-A discovery, made by ONE-Dyas in 2017, has been heavily scrutinised from the start. As an example, the platform design was modified to such an extent that it would minimise the eye-sore it would cause to the people of the Schiermonnikoog Wadden Island 20 kilometres to the south. At the same time, as Martien Visser noted on Twitter yesterday, the same community is against deployment of onshore wind turbines and against trenching a cable through the island that would enable wind-generated offshore electricity to be brought onshore.
Both projects carry an important element of emission reduction though. The N05-A platform will be powered by a wind farm in German waters, while Shell has reiterated the potential to electrify the Shearwater Platform now that Jackdaw will be exported through the facility.
What is going to be the next chapter in this story? Development of Cambo and continued production from the Groningen field?
HENK KOMBRINK
